What a lazy $700,000 can buy on the Gold Coast: HTW Residential
As a broad overview, Gold Coast's beachside localities comprising Main Beach to Mermaid Beach remain steady with a lower volume of sales at around existing price levels, according to the July Herron Todd White (HTW) residential report.
The valuation firm took a look at how a budget of $700,000 could be invested in property markets across the nation.
The report notes agents are generally reporting a lack of stock for sale with many potential vendors reportedly holding off selling currently.
"Units in Surfers Paradise have been hit by the travel restrictions due to COVID-19, with agents reporting reduced returns for investors in short term holiday letting complexes," the valuation firm said.
A follow on effect is that these owners or investors are often trying to remove the unit from short term holiday letting into a permanent rental arrangement, which appears to be having a negative impact on rental returns in the permanent letting sector as well due to the increased supply.
Houses in the suburbs remain stable, the report noted.
There currently appears to be stronger market interest in well-presented or renovated rural residential properties, with one agent reporting strong interest in a recently renovated property at 13 Waratah Court, Bonogin (pictured below).
This is a circa 1999 fully recently renovated, part two-level dwelling providing four bedrooms and three bathrooms to the main level with a self-contained one-bedroom, one-bathroom granny flat under.
The land area is 3605 square metres. The list price was $885,000 and the property sold for $915,000 with the agent reporting multiple offers over the list price.
In Main Beach, a three-bedroom, two-bathroom unit of 174 square metres situated on the third floor of the Spinnaker building recently went to contract at $745,000.
This had a renovated kitchen from some years back but dated now with the bathrooms in original condition.
Reasonable ccean views are available over and between buildings. This unit was purchased by a local buyer intending to renovate.
In Ashmore, $700,000 will get you a renovated three- or four-bedroom dwelling generally with a pool.
The sale of 24 Mingaletta Drive, Ashmore (pictured below) achieved $686,000 in January 2020.
It comprises a renovated, onground, single level, four- bedroom, two-bathroom, semi-modern dwelling with rendered brick walls, concrete tiled roof and one-car garage situated on a 682 square metre lot.
Ancillary improvements include driveway, fencing, landscaping and pool.
The dwelling was fully renovated approximately two years ago.
Mermaid Waters is located closer to the beach and Pacific Fair Shopping centre and you get a little less bang for your $700,000.
A three-bedroom townhouse at 34/2 Karbunya Street sold in March 2020 for $633,000.
It provides an end part two- level unit with three bedrooms, two bathrooms, a single garage and one unsecured and uncovered off-street car space.
The townhouse was in mostly renovated condition with a reasonable sized courtyard and is within 400 metres of the popular Nobby Beach retail and restaurant precinct and within 800 metres of the beach.
An older style house at 56 Surfers Avenue in Mermaid Waters sold in March 2020 by remote auction for $615,000.
It comprised a 1970s onground brick and tile dwelling with three bedrooms, one bathroom and single carport accommodation.
This definitely represented entry level buying and was sold as a renovator.
The majority of the value lies within the land value component.
The report notes ff you are looking at two properties for your $700,000, then Mudgeeraba offers that opportunity as you can get two, three-bedroom, two-bathroom townhouse units. Mudgeeraba is located just to the west of the Pacific Motorway and within close proximity of Robina Town Centre.
A townhouse at 24/17 Douma Drive (pictured below) sold in January 2020 for $330,000.
Offering a 1997, part two level, three-bedroom, two bathroom attached townhouse unit with brick veneer and hardiplank walls, tile roof and one-car built-in garage plus two-car off street parking, it had undergone some internal updates which were mainly cosmetic.
Similar townhouses offer a good rental return with a three-bedroom townhouse typically renting for between $400 and $450 per week.
"Moving on to the housing sector within Mudgeeraba and still under the $700,000 budget, you can get a semi modern three- to four-bedroom house with a double garage starting from around $575,000," the valuation firm said.
The report suggest an examplee of recent house sales is:
9 Swanton Drive sold in February 2020 for $613,000 and comprises an onground, single level, three- bedroom, two-bathroom dwelling with brick and rendered brick walls, concrete tiled roof and two-car garage.
The property has good external condition, good internal condition and fair presentation.
Areas: Living - 125 square metres; Outdoor - 42 square metres; and Car - 44 square metres.
Ancillary improvements include exposed aggregate driveway, fully enclosed yard with timber fence, gravel paths, patterned concrete paths, established landscaping and garden shed, retaining walls.
The land area is 585 square metres.